The Moroccan phosphate group, OCP, has secured a $ 350 million loan facility from the African Import-Export Bank (Afreximbank) which will support the group’s expansion plans across Africa.
Pan-African multilateral bank EXIM announced earlier this week that it has signed a $ 350 million 7-year term loan facility to provide financing to OCP Group.
The bank, through its chairman, Professor Benedict Oramah, has expressed satisfaction with the deal, describing OCP as a “major player” in the fertilizer industry which has a “strong presence across Africa “.
Through this partnership with a major player in the fertilizer industry, Afreximbank is fulfilling its mandate of facilitating the development of exports on the continent and promoting intra-African trade and investment, said Prof. Benedict Oramah.
“This is an important transaction that supports the development of Africa’s agricultural capacity,” he said, stressing that “OCP Group’s products, which are tailored to the needs of African farmers, will generate significant and far-reaching improvements in the continent’s ability to compete in international markets. agricultural markets.
“This facility also has symbolic value, as it marks the start of a productive and close relationship between Afreximbank and the OCP Group. We are delighted to announce this facility as the first demonstration of the Bank’s solid relationship with Morocco, ”he added.
OCP will primarily use Afreximbank funding for its industrial project in Nigeria worth $ 1.4 billion, which will be jointly fueled by Nigerian gas and phosphate transported from Morocco. The ultimate goal is to produce 750,000 tonnes of ammonia and 1 million tonnes of phosphate fertilizers per year by 2025, the group announced earlier this month, when signing several partnership agreements with Nigeria.
Nigeria is one of a long list of partners, working with OCP in Africa.
Over the past decade, the Group has consolidated its position in many African countries and, as an African player, is committed to developing South-South cooperation, placing Africa at the heart of its development plan. to help strengthen the entire African agricultural ecosystem, supplying the continent with the right quantities and qualities of fertilizer, thus contributing to African plans for smart and sustainable agriculture.
One of the OCP projects is a platform to ensure knowledge sharing between African partners on soil mapping.
The group believes Africa will become a world leader in sustainable agriculture, using local resources to realize the continent’s vast agricultural potential and help feed its growing population.
“We are committed to working hand in hand with the people who will make it a reality, African small farmers, enabling them to move from subsistence agriculture to more modern agriculture,” the group stressed.
The OCP Group is one of the largest producers of phosphates in the world, with solid establishments on five continents and more than 160 customers.